SanDisk Guides Q1 2027 Revenue to $10.3 Billion-$10.8 Billion as 83%-85% Margin Holds
Updated
Updated · Trefis · Aug 20
SanDisk Guides Q1 2027 Revenue to $10.3 Billion-$10.8 Billion as 83%-85% Margin Holds
2 articles · Updated · Trefis · Aug 20
Summary
$10.3 billion to $10.8 billion in fiscal Q1 2027 revenue guidance would equal roughly half of SanDisk’s full-year 2026 sales, with non-GAAP gross margin seen at 83% to 85%.
Eight long-term supply contracts now cover more than 50% of fiscal 2027 bits and about two-thirds in 2028, with price floors and ceilings designed to keep margins attractive even at the floor.
Fiscal 2026 revenue rose 175% to $20.2 billion, but management said about two-thirds of the fourth quarter’s 51% sequential jump came from pricing rather than volume; bit growth was only in the mid-teens.
Edge still generated $12.2 billion, or about 60% of revenue, even as datacenter sales jumped 437%; management sees smartphone and PC units down mid-teens in 2026 before growth returns in 2027.
$4.5 billion of fourth-quarter buybacks and debt at 0.8% of assets underscore a net-cash balance sheet as SanDisk also pitches an 80% gross-margin model for 2028-2030.